HC Deb 13 May 1970 vol 801 cc1222-3
11. Mr. Wiggin

asked the Minister of Agriculture, Fisheries and Food what yardstick he uses for assessing capital investment in agriculture during the rest of this year.

Mr. Mackie

There can be no single yardstick for assessing levels of future capital investment in agriculture. This is influenced by the availability of cash and credit, the expected return, and other factors, but previous trends provide an important guide.

Mr. Wiggin

With regard to the part of the Price Review devoted to deficiency payments, is the hon. Gentleman aware that it is revealed almost daily that farmers have so little left to invest in capital enterprises that in the coming year agriculture will suffer? Bearing in mind this long-term aspect, will the hon. Gentleman consider either an emergency Price Review or other action to deal with this part of the Price Review problem?

Mr. Mackie

My right hon. Friend has heard the last part of the hon. Gentleman's supplementary. As to the first part, there is no indication that this is taking place. The applications for farm improvement schemes are going ahead. There is no sign of a slowing down in the buying of tractors. There was a little recession in January but registrations went up 27 per cent. in February. For the first quarter of 1970 new investment is up 9 per cent.